Tamarack Valley Energy Ltd.

Good morning. Welcome everyone to the Tamarack Valley Energy LTD conference call and webcast on Wednesday, October 29, 2025, discussing the recent third quarter 2025 results press release. I would like to introduce today's speakers, Mr. Steve Baitels, President and Chief Financial Officer, Mr. Kevin Johnston, VP Finance, and Mr. Ben Stoodley, VP Engineering. If you would like to ask a question, please press star, then the number one on your telephone keypad to join the queue. If you would like to withdraw your question, please press star, then the number two. Thank you, Mr. Baitels. You may begin your conference.

Good morning and thank you. Welcome everyone to the call to discuss our third quarter operating and financial results. My name is Steve Baitels, president of Tamarack Valley. And today, I'm joined by Kevin Johnson, VP Finance, and Ben Studley, VP Engineering. This morning, Tamarack announced its Q3 results, another positive update to our 2025 guidance, and a dividend increase. Highlights of the quarter. Corporate production averaged 66,126 BOE a day, reflecting the previously announced 2,000 BOE a day impact of planned service interruptions at a third-party gas processing facility in the Charlie Lake. and maintenance turnarounds in the Clearwater. Our production guidance of 67,000 to 69,000 BOE per day remains on track for the full year. In terms of portfolio optimization, we continued with that strategy during the quarter. As we previously announced, Tamarack completed a $51.5 million synergistic tuck in acquisition of a private company in the Clearwater, adding approximately 1,100 barrels a day of production and over 114 net staff sections of clear water land, primarily in the West Nipissi area. We see significant operating infrastructure and water flood synergies on the newly acquired assets. In October, we closed the sale of our remaining non-core producing assets in Eastern Alberta for 112 million and disposed of approximately 63 million of undiscounted asset retirement obligations. This transaction is expected to reduce net production expense corporately by approximately 10% per BOE on a full year run rate basis. Tamarac has now completed its transition to a pure play Clearwater and Charlie Lake producer. Our strong base volumes and lower decline rates from expanded water flood activities in the Clearwater, combined with the Clearwater tuck-in acquisition, are expected to replace most of the production from the east asset divestiture in the fourth quarter of 2025 and has allowed us to maintain our full-year guidance range. In terms of shareholder returns, Tamarac repurchased 6.7 million shares during the quarter, which represents 1.3% of the 2024 year-end share count. During the quarter, we returned 57 million to shareholders through a combination of the base dividend and share buybacks. Consistent with our strategy of growing shareholder returns, We also increased our annual base dividend by 5% to $0.16 per share per year. Tamarac plans to move the timing of dividends from monthly to quarterly payments beginning in 2026. In the first nine months of the year, we have returned $194 million to shareholders through base dividends and share buybacks, representing a 6% return yield through the combination of both the dividend and the buybacks. In terms of the water flood, we increased Clearwater water flood injection volumes during the third quarter to exit at more than 30,000 barrels a day in September. This represents the updated 2025 exit target rate being achieved three months ahead of schedule. We expect 2025 exit injection rates to exceed 35,000 barrels a day, which would represent approximately 22% of our clear water production being under water flood support. This equates to a 250% increase over 2024 exit water injection rates. The significant response in oil rates from water flood have driven approximately 3,600 barrels a day of full-year production growth this year, which has been a key driver in the positive guidance revisions. In terms of our capital structure and net debt reduction, during the quarter, we completed a $325 million note offering, a five-year 2030 senior unsecured notes. The proceeds of the offering were used to redeem $100 million of our existing 2027 senior unsecured notes with the remaining proceeds used to reduce the drawn portion of the credit facility. Tamarac ended the third quarter with net debt of $631 million, which represents a reduction of $144 million, or 19% since the beginning of the year. With this note offering, Tamarac has laddered its debt maturity structure across several years and currently has undrawn credit capacity of over $700 million. In October, S&P raised our corporate credit rating from B to B+, as a reflection of Tamarac's ongoing debt reduction and strong operational performance. Ben is now going to walk through the latest developments in the Clearwater and Charlie Lake.

Thanks, Steve. Operationally, water flood in the Clearwater is driving our growth while the Charlie Lake continues to deliver strong, repeatable performance. Clearwater production has grown by 11% year over year. This continues to demonstrate the success of our primary development and strong response for the ongoing expansion of Tamarac's water flood program. Response from water flooding continues to grow with a total production uplift from water flood now estimated to be 4,500 barrels per day of oil. Year to date, Tamarac has drilled 20 injection wells, a source water well, and have converted 13 producing wells to injectors. Tamarac is demonstrating the long-term value creation and resource capture capability of deploying water flood as part of a multilateral development strategy in conventional heavy oil reservoirs. To demonstrate this, we can look at the highest producing well rates in the Clearwater during the month of September. Four of Tamarack's wells under water flood, the 16 of 2, 15 of 2, and 1 of 11 wells at Martin Hills, and the 11 of 24 well at Nipissi, were four of the 10 highest producing wells in the Clearwater in the month of September, despite all of these wells being brought on production three or more years ago. In the month of September, these four wells produced at a daily rate of approximately 940, 930, 430, and 490 barrels a day, respectively. These four wells under water flood have collectively produced nearly 2 million barrels of oil to date as of September. Tamarac plans to rig release 22 net producing wells and two injectors in the Clearwater in the fourth quarter of 2025. Our Charlie Lake asset continues to deliver strong results. The Charlie Lake produced approximately 14,000 barrels of oil equivalent during the quarter, reflecting planned service interruptions at a third party gas processing facility in the Pipestone area. We continue to await startup of the CSV Albright plant, and are prepared to commence delivery of gas as the facility is currently in the final stages of commissioning. Delays to the startup of the CSV Albright gas processing facility are not expected to have a significant impact on Tamarac's production for 2025 or 2026 with several mitigation plans already in place. Tamarac resumed drilling and completion activities with four net horizontal wells drilled and three net horizontal wells completed during the third quarter. Tamarac plans to continue running a one rig program for the remainder of 2025 and to rig release a total of four net wells in the Pipestone and Saddle Hills areas of the Charlie Lake in the fourth quarter 2025. I'll turn it over to Kevin to expand on the financial results and our updated corporate guidance.